Forum Archive Index - January 2002

["Mike Hudson" <mikehudson@clear.net.nz>]

I wrote

 

"I Like Sir Ron's And His Cohorts Style Of Investing; Extensive Research,
Patience, Taking Positions In Undervalued Companies And >Unfashionable
Sectors. I Also Like The Fact That Most Of The Assets Are In The Uk Which
Gives A Currency Hedge (The NZ$ Has >Dropped From 40p To 29p Since The
Middle Of 1997)"

 

Mark replied

"Yes, but this currency situation may be set to reverse, with it more likely
there will now being an appreciating $NZ$?"

 

It is about reducing risk as we travel overseas fairly regularly and intend to do more so in the future.We have about 65% of our financial assets in NZ$ and the balance in various foreign currencies which means that currency fluctuations shouldn't bother us too much. If the NZ$ keeps appreciating I will buy more overseas shares as my feeling is that our currency will continue to decline in the medium term to long term

 

Mike H